Skip to content
  • Acerca de Cygnet
    • El equipo
    • Nuestras oficinas
    • Para los candidatos
    • Para los clientes
  • Nuestra experiencia
    • Gestión de operaciones mina
    • Estudios, ingeniería y construcción
    • Gestión de Exploración
    • El futuro de la minería y el mejoramiento empresarial
    • Aspectos ambientales, sociales y de gobernanza
    • Recursos Humanos, finanzas, comercial, Supply Chain y HSEC
  • Servicios
    • Subcontratación De Servicios De Reclutamiento
    • Búsqueda y Selección
    • Liderazgo transitorio
    • Dinámica de equipos, evaluación y coaching
    • Coaching para líderes en terreno
    • Mapeo de talentos e inteligencia de mercado
    • Pool de talentos
  • Perspectivas al día
  • Contáctenos
  • English Español
Cygnet |  Professional search and recruitment Cygnet |  Professional search and recruitment
Ambiental, Social y Gobernanza

The fight to eradicate modern slavery

Publicado el 13th April 202120th April 2021 por Audrey Lopez
13
Apr

Think of the word ‘slavery’, and your mind is likely to conjure up imagery of people in metal shackles forced to work against their will. While it is tempting to believe we can consign such images to a shameful past, slavery continues to be a very real, if sometimes less apparent, stain on modern society. 

The United Nations estimates that there are more than 40 million victims of contemporary slavery, with about 25 million exploited through business supply chains. This issue becomes even more complex in developing and underdeveloped countries, where incidents and violations are often either unrecorded or underreported. 

Many countries have introduced legislation to address this modern-day slavery, including the UK, EU, the US and Australia.  

The Modern Slavery Act [Australia] (2018)

In 2018, Australia strengthened its fight against slavery. The Commonwealth government passed the Modern Slavery Act to help companies take proactive and effective actions to address this menace.

Organisations in Australia with revenues above AUD100 million are now mandated to comply with the Modern Slavery 2018 Act’s reporting requirements, which extend to all their Australian and foreign business entities. 

The Act requires organisations to report their structure and operations, map out the risk of slavery in its supply chain, how the organisation has mitigated this risk and the effectiveness of their actions. 

Companies that fall outside the mandatory compliance rule can disclose their statements voluntarily, and many choose to do so. By the end of March 2021, most large organisations should have published their modern slavery statement.

However, the pandemic has hampered organisations’ efforts. It was widely acknowledged that the pandemic was likely to lead to a situation in which the heath crisis, coupled with the mounting unemployment rate, would lead to new slavery and worker exploitation cases. There is a serious concern as the International Labour Organisation expects the global unemployment rate to climb by 25 million. 

Environmental, Social and Governance

We are well aware of how a company’s performance on the ESG barometer impacts investment and shareholder decisions. Eradicating modern slavery from the supply chain is a critical issue in the Social element of ESG. Yet it is potentially the most inadequately represented indicator. 

There have been great debates year-on-year about Environmental and Governance standards, while discussions about the S in ESG usually revolve around community initiatives, diversity and employment. The depth of human rights violations and modern slavery cases are very rarely included in high-profile discussions. 

However, there is room for optimism in the actions taken recently by some of the top industry players in the mining and resources industry: 

  • Last year Glencore joined the Fair Cobalt Alliance (FCA), an organisation that seeks to bring professionalism and safer working practices to artisanal and small-scale mining (ASM). While Glencore does not process, buy or trade cobalt derived from ASM, its own large-scale industrial operations produce cobalt metal within the same region as ASM producers. Glencore states that through its support of the FCA, it supports the efforts of legitimate ASM cooperatives to align their operations with international human rights practices, including the prevention of child labour. 
  • BHP launched a minimum requirement policy regarding policies and action to prevent slavery for suppliers who wish to do business with them. BHP’s Ethical Supply Chain team runs due diligence on all suppliers.
  • Fortescue Metals, South32, Anglo American, INPEX, Gold Fields, CITIC Pacific Mining, Iluka Resources, Western Power, Synergy and ATCO all participated in a pilot programme with Minderoo Foundation (the Walk Free Initiative), which undertakes extensive analysis and publishes an annual Global Slavery Index that allows companies to tap on to its research to validate their initiatives’ effectiveness. 

At a global level, the UN Children’s Fund (UNICEF) collaborated with the Global Battery Alliance (GBA) – an organisation of 40 entities that includes Anglo American, Glencore, Vale, Eurasian Resources Group and Trafigura – and raised nearly USD 21 million to launch initiatives to address child labour employment in artisanal mining communities.

Technology is also playing a pivotal role by introducing innovative ways to tackle contemporary slavery. One such initiative is the Responsible Sourcing Blockchain Network (RSBN), powered by IBM Blockchain technology and Linux Foundation’s Hyperledger Fabric. 

The objective is to bring greater transparency into the supply chain by bringing companies on board from various sectors including mining, auto, and refining, on a single global ethical mineral sourcing platform. Norilsk Nickel is one of the recent companies to announce its decision to join the RSBN that will allow it to source responsibly and thoroughly audit its supply chain for compliance. 

Addressing modern slavery

Over the years, there have been several suggestions to ensure compliance with legislation to address modern-day slavery. These have ranged from having a board member focused solely on this issue and liable for any non-compliance, to disqualifying companies with grey reputations for public procurement contracts. 

We would hope the moral and social benefits of addressing modern day slavery are compelling enough, but companies that make efforts in these areas can expect other returns. Industry observers believe companies who proactively address their ESG issues unlock competitive value in improved brand perception, retention of talent, and high performance on ESG investment indices. 

Modern slavery is a scourge that needs commitment and global collaboration across industries and sectors to be eradicated. It also requires buy-in from governments, corporates, suppliers, producers, shareholders and investors. Companies can best achieve this by building partnerships to share best practices, knowledge and information. 

It is good to see mining companies already playing a leading role in making this happen. 

Audrey Lopez – Senior Associate – Research

Find out more about Cygnet’s Environmental, Social and Governance support.

Sources

The Conversation.com; Australia Government Department of Home Affairs; People Culture.com; RCS Global; IM International Mining.com; Australian Mining; Glencore company website; Minderoo website; BHP company website; UNICEF; AntiSlavery.org; Ourworld.unu.edu; Deloitte; ReutersEvents; Themekongclub.org; Baker McKenzie Report; NASDAQ.com

Image (c) Shutterstock | www.globalnewsart.com

Cygnet Commodity Market Update, April 2021
Desafíos de la Equidad de Género en la Minería Chilena
Perspectivas al día
  • 24
    Jan
    John Murray becomes an Honorary Fellow of the AusIMM Comments Off on John Murray becomes an Honorary Fellow of the AusIMM
  • 19
    Jan
    Cygnet Commodity Market Update, January 2023 Comments Off on Cygnet Commodity Market Update, January 2023
  • 10
    Jan
    China’s dominance leads to concerns about commodity concentration Comments Off on China’s dominance leads to concerns about commodity concentration
  • 26
    Oct
    Cygnet Commodity Market Update, October 2022 Comments Off on Cygnet Commodity Market Update, October 2022
  • 12
    Sep
    Cygnet Commodity Market Update | September 2022 Comments Off on Cygnet Commodity Market Update | September 2022
Categorias
  • Ambiental, Social y Gobernanza (6)
  • Articulos Especiales (7)
  • Diversidad (7)
  • Fuerza laboral futura (6)
    • Educación Minera (2)
    • Marca del empleador (2)
  • Liderazgo (9)
  • Noticias de la industria (45)
    • Noticias de Cygnet (3)
Authors
avatar for Dan SmithDan Smith (61)
avatar for John MurrayJohn Murray (16)
avatar for Jason KaplanJason Kaplan (11)
avatar for John LarpentJohn Larpent (9)
avatar for Emily GoetschEmily Goetsch (8)
avatar for Trevor LambertTrevor Lambert (6)
avatar for Fernando RodriguezFernando Rodriguez (5)
avatar for Audrey LopezAudrey Lopez (4)
avatar for Candice ZhaoCandice Zhao (4)
avatar for Jonathan WilliamsJonathan Williams (3)
avatar for Mireya GuerraMireya Guerra (2)
avatar for Ana RibeiroAna Ribeiro (2)
avatar for Guest AuthorGuest Author (2)
avatar for Lorraine MeldrumLorraine Meldrum (2)
avatar for Sapna GillSapna Gill (2)
avatar for Tom AldridgeTom Aldridge (2)
avatar for Lauren RankinLauren Rankin (0)
avatar for franciele.dasilvafranciele.dasilva (0)
avatar for Janet BewseyJanet Bewsey (0)
avatar for Tom HarrisTom Harris (0)
avatar for Nona SichinavaNona Sichinava (0)
  • Parte de
Swann Group logo
Swann logo
Cygnet logo
    • Acerca de Cygnet
    • Nuestra experiencia
    • Servicios
    • Perspectivas al día
    • Contáctenos
    • Sitemap
    • Privacy Notice
    • Cookie policy
    • Legal notice
    • Terms of use
© Cygnet Search UK Ltd 2023
  • Acerca de Cygnet
    • El equipo
    • Nuestras oficinas
    • Para los candidatos
    • Para los clientes
  • Nuestra experiencia
    • Gestión de operaciones mina
    • Estudios, ingeniería y construcción
    • Gestión de Exploración
    • El futuro de la minería y el mejoramiento empresarial
    • Aspectos ambientales, sociales y de gobernanza
    • Recursos Humanos, finanzas, comercial, Supply Chain y HSEC
  • Servicios
    • Subcontratación De Servicios De Reclutamiento
    • Búsqueda y Selección
    • Liderazgo transitorio
    • Dinámica de equipos, evaluación y coaching
    • Coaching para líderes en terreno
    • Mapeo de talentos e inteligencia de mercado
    • Pool de talentos
  • Perspectivas al día
  • Contáctenos
This website uses cookies to distinguish you from other users of our website, which helps us to enhance your experience when you browse on our website and to improve our website.

By clicking the “accept and continue” button below, you agree to our use of cookies. For more information on the cookies we use and how to set your preferences, see our cookie policy.

Cookie settingsAccept
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Siempre activado
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
GUARDAR Y ACEPTAR